The proposed bill aims to regulate Environmental, Social Justice, or Governance (ESG) scores or metrics and grants the Treasurer of State the authority to divest from stocks, securities, or other obligations if discrimination occurs against businesses in the energy, fossil fuel, firearms, or ammunition industries based on ESG-related factors. The bill establishes a new subchapter in the Arkansas Code that outlines the legislative intent, definitions, and procedures for divestment. It emphasizes the importance of these industries to Arkansas's economy and workforce while asserting that certain financial services providers may be using their regulatory power to discriminate against them.

Key provisions include the requirement for the Treasurer of State to divest from financial services providers that discriminate without a reasonable business purpose against the specified industries. The bill also mandates that public entities must divest cash funds from any financial services provider listed for such discrimination. Additionally, it outlines a process for notifying financial services providers before they are added to the list and allows for their removal if they demonstrate compliance. The bill emphasizes that investment decisions should prioritize the financial interests of state taxpayers and be based on pecuniary factors.